REFINED SUGAR IMPORTS. The Department of Agriculture (DA) released on Wednesday (Feb. 15, 2023) Sugar Order No. 6 which seeks to help temper market prices and provide sugar buffer stock in the country. According to SO 6, the first batch of supplies is expected to arrive as soon as possible. (Photo courtesy of the Sugar Regulatory Administration)
MANILA – The Department of Agriculture (DA) released on Wednesday Sugar Order (SO) No. 6 authorizing the importation of 440,000 metric tons of refined sugar.
According to SO 6 signed by DA Senior Undersecretary Domingo Panganiban, the country shall import 200,000 metric tons of sugar for consumers, and another 240,000 metric tons to be allocated for buffer stock.
The SO 6 indicated the approval of the immediate arrival of the first batch of supplies to alleviate the high market prices of refined sugar.
"For the first arrival of refined sugar, 100,000 metric tons to arrive as soon as possible," it said.
The SO 6 said the second batch of 100,000 metric tons of refined sugar is also expected to arrive before April 1, while the remaining 240,000 metric tons for buffer stock must not arrive "earlier" than the first day of April.
Temper sugar prices
The Sugar Regulatory Administration (SRA) earlier said the importation of 440,000 metric tons of refined sugar shall help temper retail prices in the market.
“Mayroon tayong allocation for immediate arrival. ‘Yung plano kasi ng Department of Agriculture, ‘yun ‘yung magte-temper ng mataas na retail price (We have an allocation for immediate arrival. That's the plan of the DA --to temper the prices). We are trying to make sure that our retail price will drop to 85 percent without hurting the farmers,” SRA board member Pablo Luis Azcona said.
Manuel Lamata, president of the United Sugar Producers Federation, said the SRA move is favorable to farmers and consumers since some traders created speculation of a possible supply shortage that led to the price increases.
“Komporme naman po ‘yung grupo namin na sugar federation po na mag-angkat 440,000 metric tons para po ‘yung mga consumer natin, mga baker, mga panaderya makatikim naman ng murang asukal sa merkado. Sobra-sobra naman ‘yung ginagawa ng mga traders natin e (We are in favor here in the sugar federation to import 440,000 metric tons (of sugar). So that our consumers, bakers and bakeries may use more affordable sugar. Our traders are taking advantage of the situation. That is all because of speculation,” he said.
Lamata said the importation with an allocation for buffer stock may cause scrupulous traders to release their supply to markets and cause the price to drop.
“It’s already effective, nage-epekto na po… Makakaabante na tayo, wala na silang choice (Its effect is showing… We can proceed and they don’t have any choice),” he said of the drop in the mill gate price.
Lamata also lauded the SRA’s allocation for consumers, insisting that industrial corporations should buy sugar in the local markets.
“Dapat bibili sila sa local market, kasi tayo rin ang nagkokonsumo ng soft drinks nila. Bakit sila bibigyan ng pribilehiyo (They should buy in the local markets because we are the ones consuming their soft drinks. Why would you grant them a privilege) to buy cheap imported sugar manufactured them to be soft drinks and sell it to us very expensive,” he added.
However, the Unyon ng mga Manggagawa sa Agrikultura said importation should not be a priority since the harvest season is ongoing.
In an interview, chairperson Ariel Casilao said other concerns, such as support to the local producers, need to be prioritized.
“Mahigpit po nating tinututulan ang balak ng SRA na mag-import ng 440,000 metric tons na refined sugar. Ito po ay hindi pangunahing pangangailangan ng ating mga kabahayan, ng ating mga konsyumer (We strongly oppose the SRA’s plan to import 440,000 metric tons of refined sugar. This is not a primary need of the Filipinos, nor of the consumers),” he said.
Casilao said instead of importation, the government should help displaced sugarcane farmers following the closure of the Central Azucarera Don Pedro Inc. in Batangas.
“What the government can do is to temporarily take over or have a joint operational management contract between the owner and the Sugar Regulatory Administration or SRA to continue the milling,” he said in mixed English and Filipino.
“Dahil mayroon pong hundreds of thousands of metric tons ng tubo until April, masasayang ito kung hindi maha-harvest at hindi mami-mill sa tamang panahon (Because there are still hundreds of thousands of metric tons of sugarcane until April, these may be wasted if not harvested or milled in the right timing),” he added.
To date, the price of refined sugar in the market is set at PHP87 per kilogram to PHP110/kg. (PNA)
